Former BoJ official: BoJ should abandon inflation

Former Bank of Japan (BoJ) monetary policymaker Tsutomu Watanabe, who is now a professor at Tokyo University, believes that Japan needs to abandon its current monetary policy structure, claiming that the lack of effect has shown that the policies the BoJ are employing aren't working.

Key highlights

"The last five years have confirmed that the policy hasn't had any effect... At some point you have to give up."

The BoJ should scrap its efforts to stimulate prices through bond buying operations.

Japan should introduce a digital currency instead, allowing the BoJ to accept a zero-percent inflation target.